Results of the firm feedback survey 2022

The Prudential Regulation Authority, PRA, has published a press statement to inform of the outcome of its most recent survey among supervised firms to evaluate the PRA’s performance as a supervisor of banks, building societies, and insurance and reinsurance undertakings.
In this survey, firms were provided a number of statements (please see Table 1 below) to which they should express their consent or dissent. These statements primarily focused on the
– PRA’s understanding of supervised firms;
– perceived clarity of PRA rules and regulations, and regulatory objectives;
– effectiveness of relationships with supervised firms; and
– effectiveness of cooperation with other regulatory authorities, especially the Financial Conduct Authority (FCA).
Table 1 – Statements of the PRA subject to firms‘ assessment

The key findings of the survey are briefly listed below. For more detailed, comprehensive information, please refer to the enclosed report.
– Firms have noticed a small decrease in the quality of their supervisory relationships. However, it is expected that once the post-Covid period returns to normal, the supervision process will improve and strengthen the relationship between the PRA and the management of these firms.
– Firms desire the PRA to apply a more proportional approach in the supervision of in-scope firms.
– Firms particularly seek to engage with specialists teams to resolve matters of interest. In this context, the PRA notes that it has enhanced its training and coordination efforts to build up adequate technical and non-technical know-how among staff members.
– Firms passporting in the UK „asked for a more holistic approach to branch supervision“.